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  CNN    CNN Newsroom    News/Business. Latest on the day's top news stories  
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    February 26, 2013
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into new video in for you. president obama moments ago touring the supplemental module outfitting facility. never heard of that, really? a large building at the newport news shipyard, actually in virginia. >> it supports the building of large sections of nuclear attack subs specializes in construction of the front end of the submarines. standing by for the president to speak about it and the kinds of cuts the spending cuts that are going to go into effect friday, how it could impact this particular shipyard. talking about $85 billion in cuts, impact defense, social programs unless congress and the white house reach some new budget deal by friday. >> going to carry remarks of course live here on cnn in 15 minutes. just repeating, it's from the supplemental module outfitting facility. been there? there no, i haven't. >> when michelle obama presented the academy award for best picture in the u.s. ladies her
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first gown was a hit but not so much in iran. >> this is interesting. the iranian news agency made a virtual alt rateration, raising neck line, before circulating the image. it was considered too revealing for those in iran. >> this is of course before announcing the best picture, mrs. obama wore the dress to a white house dinner for the nation's governors as far as we know did not complain about the gown. and it was "argo," seen by iran, being anti-iranian. >> it was gorgeous. >> yeah. it was lovely. all right. that will to do it for me. thanks for watching "around the world." carry on. >> i'll carry on. >> see you tomorrow. spending cuts on the way, jobs on the line.
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the president speaking at a virginia shipyard in a few minutes. his latest effort to pressure congress over the forced spending cuts that will take effect in three days. $85 billion in cuts. but republicans say enough with the scare tactics. they say it's time to get serious about reducing the country's massive debt. and air travel a mess for millions of folks after this blizzard hit. look at the areas hardest hit. how air travel could become a bigger pain if the forced spending cuts go into effect. the senate gives a thumbs up to chuck hagel's nomination for defense secretary. it clears the way for hagel's likely confirmation to that cabinet position. this is "cnn newsroom." i'm suzanne malveaux. we start with this, the blame game over those forced spending cuts heating up now. so is the political trash talk. in a news conference, a little while ago, john boehner accused the president of playing politics.
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>> the president has been traveling all over the country and today going down to newport news in order to use our military men and women as a prop in yet another campaign rally to support his tax hikes. now the american people know, the president gets more money they're just going to spend it. >> not to be outdone, house minority leader nancy pelosi fired back at republicans over the cuts. known in washington as sequestration. >> republicans say they're kicking the can down the road. i don't think they're kicking the can down the road. i think they're nudging the potato across the table with their nose. most don't know what the world sequester means. sequestration equals unemployment. sequestration, we don't want it. >> that's basic. half of cuts come from defense spending. the army chief of staff says
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this could put troops at risk. >> i understand the seriousness of our country's fiscal situation. we have and we will continue to do our part but we simply cannot take the readiness of our force for granted if we do not have the resources to train and equip the force our soldiers, our young men and women, are the ones who will pay the price, potentially with their lives. >> we're going live to virginia. the president's remashes, as soon as they get under way in a few moments. first, let's bring in our political team, where do we go from here. john king in our washington bureau, dana bash on capitol hill, jessica yellin at the white house. as mentioned, the president trying to put more pressure on congress to avoid. what we're talking about $85 billion in forced spending cuts over seven months. republicans pushing back. john, i want to start off with you congress and the white house have known this since summer 2011 this was coming.
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talk about the political calculus here. both sides positioning themselves as victim in the s t scenar scenario. is that going to fly? i mean are people going it buy that either way? >> if you look at public opinion poll, everybody's mad at washington, president gets less of the blame, republicans and congress get more of the blame. this is a mess of their own making because they go from crisis to crisis to mini crisis, big crisis because they keep kicking down the road big decisions they need to make about government spend priorities. everybody has a point in the debate. republicans are right when they say even if you have cuts go into effect $85 government spending will go up next year. they are correct about that. the president's right. when he makes certain points about he doesn't have leeway the way the law's written to avoid indiscriminate cuts. the president's playing politics, going on the road, that's his job. he has the bully pulpit, the great advantage of being president. he's going to make the case we
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need to figure this out in washington, meaning politicians and these people shouldn't be held hostage to inability of our political leadership, both the democratic president and the republican house and everyone in between to do their most basic job. >> i want to bring in dana bash on capitol hill. we heard colorful language from house speaker boehner when he called on the senate to avoid the cuts. here's how he put it -- >> we have moved the bill in the house twice. we should not have to move a third bill before the senate gets off their ass and begins to do something. >> dana, i know that kind of language happens behind the scenes, not so much in public here. any hope with that kind of talk that there's going to be any talks going on before friday? >> not a lot at all. look, starting out with what he said, the substance of what he said about the senate, as we speak, suzanne, there are
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meetings among democratic -- democrats in the senate and republicans in the senate trying to figure out exactly what kind of measures, proposals they are going to put up for a vote before friday, probably thursday. so we're going to see some kind of movement but likely it will end up being show votes. we're not going to see either of the proposals to deal with the forced spending cuts passed. i want to show you something a house republican member gave to me. this is proof that everybody understands politically that they have to make the best argument because they think it's going into effect. this was a card given to house republicans today. put it in their pockets that has talking points why they think they have done what they need to do to give some proposals to replace this and why the -- this is what they say the president's spending cuts, not theirs. >> all right. always a prop in hand, get everybody on the same page here.
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i want to bring in jessica yellin. jess, let's talk about this because we've seen the full-court press from the white house in the last couple of days. they paint this worst-case scenario from head start kids out of school, mentally ill not getting medications, air traffic control disrupted. anything that the white house is saying or doing beyond warnings of the calamity to try to prevent this from happening? >> reporter: well, suzanne, as you know the white house can't do anything to avoid these forced cuts without congressional action. and the most they can do is help the american people believe it is a calamity. you know, one of the challenges here for the white house is that these cuts will not be felt by most americans right away. most people will have to hear and read about the effects of them on the news for quite a while. so part of the reason the president is doing this event and doing all of these events, yes, it's to build public support for his case and to
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build pressure on congress, but it's also to try to explain why he thinks these cuts are so bad because so many pople aren't going to feel them. and it's because something john mentioned, he said they're arbitrary, because of the way they're designed doesn't give government any control over what gets cut or who gets cut and he thinks that's bad. so, it's a little bit of a difficult case for the president to make and he's going to use his, you know, good speaking skills to tri to make it over the next couple of weeks because everybody expects them to go into effect. >> jess, dana, john, thanks. we'll take a quick break. we'll bring you back on the other end before the president speaks to talk more about what we expect from the president and how this will play out in the next 48 to 72 hours. dad's tablet... lauren's smartphone... or kevin's smartphone...
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or bleeding problems. ready to change your routine? ask your doctor about once-a-day xarelto®. for more information including cost support options, call 1-888-xarelto or visit goxarelto.com. the u.s. could soon have a new secretary of defense. they have voted to delay the confirmation of former secretary hague toll replace leon panetta. senators will take up a simple up or down vote on hagel. confirmation is assured difference democrats have a majority in the senate. president obama's choice for secretary of treasury one step closer to confirmation as well. >> widen. >> mr. widen? >> mr. schumer. >> aye. >> miss stabenow? >> senate finance committee voted 18-5 to send jack lew's nomination to the full senate
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for a final vote. four republicans joined all 14 democrats in favor. lew was the president. chief of staff for a year. he was nominated in january to succeed timny geithner? we are waiting for president obama to talk about the forced spending cuts that that would take effect on friday. we'll bring it to you live. we're watching an event out of virginia. we'll bring it to you as soon as he starts to speak. first of all, i want to bring our political panel back to talk about what this means, politically, but also what does it mean for all of us, the real deal in all of this. john king in washington, dana bash on the hill, jessica yellin at the white house. so, john, first of all, do we think, and we've seen a lot of really i guess stage craft, if you will, the trips, this plant that he's visiting now, to make his case to the public, how effective is that at this point? because it really is about
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public opinion now. it doesn't shape what happens on friday. >> well, he's trying to personalize it, suzanne. hoping by keeping his higher standing, again, he's not way up but higher than the republicans, especially house republicans in polling, the president's hoping to convince more americans to call congress and say, do something about this. will that work in the short term? likely not. everyone expects though the president's saying stop this. talk to people privately at the white house, jessica can tell you this better than i, they expect this to go in. what is the president trying to do? he's going to say some ship builders, blue collar americans are not going to get a check in a couple of day order a couple of weeks and so they might have trouble paying their mortgage, they might have trouble feeding their family. the attorney general saying americans will be less safe. you've heard officials saying fewer tsa people, longer lines, more delays, less safe skies. social security won't be touched, medicare, medicaid won't be touched, v.a. military
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pay won't be touched. the politically explosive issues are protected because that's not discretionary spending. the president's trying to say this is a dysfunctional government and he's going to blame the republicans, they're going to end up hurting middle class americans because they can't do that irbusiness. no one expects immediate pain friday, saturday, sunday. both sides are gaming this out politically. another deadline in march about funding the government. and both parties if you talk to them privately, think they'll work this out in a week or two. assume the president has the upper hand, the republican calculation is, even if we're on the losing end in the short term we can figure this out before the damage gets too great. >> i want to talk about the republicans here. what we've seen, we've seen senator john cornyn of texas, he's agreed with the defense secretary panetta it would be dangerous to national security, they'd put our national security at risk if severe cuts in the defense department actually go
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through. now he's changed his tune and said not so much, actually the budget in the pentagon is still going to go up. do republicans risk not being seen as credible? >> i think everybody risks not being seen as credible. this more than many of the crises that we've seen congress and the white house deal with. on that particular issue of republicans in defense, i find it fascinating. i spoke with senator cornyn as some of my colleagues up here about that. and what he was saying is that he was trying to try out his message on us about the fact that republicans should in fact not be saying that the sky's going to fall with regard to defense, it has historically been the most important thing when it comes to budget for the republicans because even if these forced cults go into effect, overall defense spending will go up. there's a split among republicans. if you ask john mccain that,
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he'll say do not touch defense spending, you to do away with forced cuts. there definitely is what this is exposing is a real tug-of-war within the gop over one of the main goals which is getting rid of the deficit and debt and that means reduce spending everywhere and historically, at least, since the reagan years, wanted to beef up and continue to beef up the defense department. there's no question. one thing i want to mention on this whole idea of what you said, suzanne, which is stage craft by the president, what i'm hearing from democrats on capitol hill, why are you doing this two days before? where were you with your bully pulpit out there warning about these cuts and making the case we need to get rid of them beforeha beforehand? people remember the president saying these cuts won't go through. there is frustration. >> summer 2011 that's when
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everybody knew this was going to happen. i want to bring in jess to talk about that. it's no accident he's at newport news. tell us what is the significance of the picture we're looking at now and specifically the location? >> reporter: he's at a shipyard where they would feel a quick impact, he'll argue, if these cuts go into effect. and not only -- because there's a very large naval base nearby and this shipyard helps service the naval base. i mentioned that many people will not feel the immediate effect of these cuts. so he's located a place where we would see an up stantinstant ef. if a person loses their job one day a week, that person can spend less money at their convenience store and so on and it -- the ripple effects impact the community, suzanne. i think in the coming days you might see the white house highlight some of the effects to education, teachers and students from some of the budget cuts, maybe even how it could hit your
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pocketbook with rising gas prices at the same time. those impacts that drive this home to regular folks who are trying to digest what this could really mean on a personal level. but i'll emphasize on the note that john made earlier, and dana made, suzanne, most people here think that this fight will go past the deadline. we're going to have to see a bit of pain and bleeding before any compromise can be worked out. both sides are going to have to -- there's going to have to be suffering before anyone cuts a deal, the current political calculus in the town. >> stay with us. the gentleman we are watching, he's going to be introducing the president. we'll try to get a quick break in before the president appears live. then we'll bring it to you on thor end.to notice m j ust sn't h. and i knew he'd feel better if he lost a little weight.
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back to the news. shaq wins. [ male announcer ] new icy hot advanced cream. the first with 2 max strength ingredients for long lasting relief. pain over. we are waiting for president obama to speak there. a live picture, he's going to ie introducing the president shortly. he's talking about making the case for how devastating automatic spending cuts are going to impact all of us, starting this friday. we're talking about $85 billion
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over 7 month period shot from the federal budget if congress and the white house, but if congress doesn't do anything. automatically happen across the board. no deal has been made dealing with the federal deficit and the budget itself. so this is expected to take place friday here. almost no federal agency's going to be immune from all of this. i want to bring in a senior writer at cnn money. we've heard a lot of bluster from both sides here. give us the real deal on impact of how this is going to impact us, these cuts here. $85 billion over 7 months. who's going to feel it first and how long is it going to take? >> thanks. we have two group that will will feel it first. among the first groups 2 million people right now on long-term unemployment benefits, the federal extended benefits. they could see benefits cut up to 10%, about 9.4%. when they tart seeing it is going to depend how quickly their state can preprogram their computers to send out smaller
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checks. the problem is, if the state takes a while and the checks don't go out until april, they'll see really small checks in april because it's retro active to march 1st. >> how will this play out in the months to come? >> the sequester cuts? nobody knows because it will take several months for many people to feel it, if at all. cuts in safety net programs, head start, children losing child care services, fewer meals on wheels for seniors. congress may do something in between to prevent cuts from rolling out. there will be a few groups that feel it potentially as early as march but many will feel it in april and beyond. >> let's dip in. the president starting to speak. >> a chance to hang out with nuclear submarines especially submarines my wife has sponsored. so right there, that was worth the trip. but most importantly, the a great chance to see the
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incredible men and women who every single day are helping to keep america safe and are just the bedrock of this country's manufacturing base. thank you to all aftof you. i want to thank our outstanding secretary of the navy, ray mavis, who is here. there he is right there. the good-looking guy there over at the end. i want to thank your mayor mckinley price who served this nation bravely in the u.s. army. i want to thank two outstanding congressmen who care about this facility, care about virginia, and care about the country. congressman bobby scott is here.
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and congressman scott rignal is here as well. now, the reason i came here today, in addition to seeing just some incredible stuff -- it's true, every time i come to these places i don't know how you all do it. it is just amazing work. but the main reason i'm here is to call attention to the important work you're doing on behalf of the nation's defense and to let the american people know that this work, along with hundreds of thousands of jobs, are currently in jeopardy because of politics in washington. in a few days congress might allow a series of immediate,
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painful, arbitrary budget cuts to take place, known in washington as the sequester. now that's a pretty bad name, sequester, but the effects are even worse than the name. instead of cutting out the government spending we don't need, wasteful programs that don't work, special interest tax loopholes and tax breaks, what the sequester does, it uses a meat cleaver approach to gut critical invests in things like education, national security, life-saving medical research. and the impact of this policy won't be felt overnight but it will be real. the sequester will weaken america's economic recovery. it will weaken our military readiness. and it will weaken the basic
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services that the american people depend on every single day. already the uncertainty around these cuts is having an effect. companies are starting to prepare for lay-off notices. families are preparing to cut back on expenses. and the longer these cuts are in place, the greater the damage. so here, newport news ship building, you guys have made an enormous investment because we've said, in order to maintain the finest navy that the world has ever known, we've got make sure that there's an orderly process whereby we are continually upgrading our ships, building new ship, maintaining our ships properly, and these are some big ships. so it's expensive, and it's complicated and you've got 5,000
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suppliers all across country and you've got to have certainty and knowledge about how things are going to proceed over the long term for mike and others to plan properly. so you're rightly concerned, mike is properly concerned about the impact these cuts will have on not just this company but companies and small businesses from all 50 states that supply you with parts and equipment. mike was tell me that you guys have already made $1 billion worth of capital investment, half a billion in training cost as you recruit and hire new people. those aren't commitments that you make lightly. you have to have the capac toy plan and have certainty in terms of what it is we're going to be doing. and you know that if congress can't get together and plan our nation's finances for the long term, over time some of your jobs and businesses could be at
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risk. over the norfolk naval station, the threat of these cuts has forced the navy to cancel the deployment or delay the repair of certain aircraft carriers. one that's currently being built might not get finished. another carrier might not get started at all and that hurts your bottom line. that hurts this community. because of these automatic cuts, about 90,000 virginians who work for the department of defense would be forced to take unpaid leave from their jobs. so that's money out of their pockets. money out of their paychecks. and then that means there's a ripple effect on thousands of other jobs and businesses and services throughout the commonwealth because if they don't have money in their pockets or less money in their pockets that means they're less able to afford to buy goods and services from other businesses. so it's not just restricted to the defense industry.
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all told, the sequester could cost tens of thousands of jobs right here in virginia. but it doesn't just stop there. if the sequester goes into effect more than 2,000 college students would lose their financial aid. early education like head start and early start would be eliminated for nearly a thousand children and around 18,000 fewer virginians would get the skills and training they need to find a job. across the country these cuts will force federal prosecutors to close cases and potentially let criminals go. air traffic controllers and airport security will see cutbacks and that could cause delays at airports across the country. tens of thousands of parents will have to scramble to find child care for their kids. hundreds of thousands of americans will lose access to
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primary care and preventative care like flu vaccinations and cancer screenings including more than 3500 children right near virginia. so these cuts are wrong. they're not smart. they're not fair. they're a self-inflicted wound that doesn't have to happen. now, the reason that we're even thinking about this sequester is because people are rightly concerned about the deficit and the debt. but there's a sensible way of doing things and there's a dumb way of doing things. i mean, think about your own family, right? let's say that suddenly you've got less money coming in. are you going to say, well, we'll cut out college tuition for the kid, we'll stop feeding the little guy over here, we won't pay our car note even
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though that means we can't get to work. that's not what you do, right? you step back and say what is it that's important? our child's education, making sure they're healthy, making sure we can get to the job, keeping our house, you know, repaired, and then you say, here are the things that aren't so important and you cut those out. you prioritize and make smart decisions. well, we should be doing the same thing. now i've laid out a plan that details how we can pay down our deficit in a way that's balanced and responsible. we have the plan right on a website, the white house website. everybody can go see it. it details exactly how we can cut programs that don't work, how we can raid monse money by closing loopholes that only serve a few as opposed to the average american.
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$930 billion in sensible spending cuts that we're willing to make and $580 billion in wasteful tax loopholes and deductions we're willing to eliminate through tax reform. what i've said is, if the republicans in congress don't like every detail of my proposal, which i don't expect them to, i've told them my door's open, i am more than willing to negotiate. i want to compromise. there's no reason why we can't come together and find a sensible way to reduce the deficit over the long term without affecting vital services, without hurting families, without impacting outstanding facilities like this one and our national defense. there's a which of doing this. and the fact is, there are leaders in both parties throughout this country who want to do the same. i've got to give scott credit.
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you know, he's one of your republican congressmen who is with us hire today. that's not aulways hey healthy r a republican, being with me. the reason he's doing is it because it's important to you. he's asked his colleagues in the house to consider closing tax loopholes in instead of letting automatic cuts go through. he's concerned about the deficit and he's more than prepared to make some really tough cuts but he wants do it in a really smart way. bobby scott, the same thing. some of the cuts we proposed bobby might not think are perfect but he wants to make sure that you aren't the ones who are adversely impacted. and that we're sharing the sacrifice in bringing down our deficit. we're not just dumping it on a few people and not doing it in a dumb way. senators like john mccain have made similar statements to what scott said.
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you're a republican governor along with other republicans around the country want congress to stop the sequester, stop these cuts. but i just have to be honest with you, there are too many republicans in congress right now who refuse to compromise even an inch when it comes to closing tax loopholes and special interest tax breaks. and that's what's holding things up right now. keep in mind, nobody's asking them to raise income tax rates. all we're asking is to consider closing tax loopholes and deductions that the speaker of the house, john boehner, said he was willing to do a few months ago. he said there's a few loopholes and deductions you could close, said you could raise $800 billion, a trillion by closing loopholes. we're not even asking for that muff. all we're asking is that they close loopholes for the well-off and well-connected, for hedge fund managers, oil companies or
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corporate jet owners who are all doing very well and don't need these tax loopholes so we can avoid laying off workers or kicking kids off head start or reducing financial aid for college students. i don't think that's too much to ask. i do not think that is partisan. majority of the people agree with me. the majority of newport news agrees with me. we need to get this done. but the choice is up to congress. only congress has the power to pass a law that stops these damaging cuts and replaces them with smart savings and tax reform. and the second i get that bill on my desk, lie sign it into law, but i've got to get congress to pass it. none of us will get 100% of what we want.
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democrats, they've got, you know, to make tough choices too, democrats like me, we've said we're prepared to make tough cuts and reforms including programs like medicare. but if we're willing to compromise, republicans in the house have to compromise as well. that's what democracy's. that's what this country needs right now. so let me -- let me just make one last point, by the way, for those following this. lately some people have been saying, well, maybe we'll just give the president some flexibility. he can make the cuts the way he wants and that way it won't be as damaging. you know the problem is, when you're cutting $85 billion in 7 months, which represents over a 10% cut in the defense budget in seven months, there's no smart way to do that. there's no smart way to do that. you don't want to have to choose
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between let's see, do i close funding for the disabled kid or the poor kid? do i close this navy shipyard or some other one? when you're doing things in a way that's not smart, you know, you can't gloss over the pain and the impact it's going to have on the economy. and the broader point is, virginia, we can't just cut our way to prosperity. we can't just cut our way to prosperity. we can't ask seniors and working families like yours to shoulder the enstir burd stistitire burd reduction. we're not going to grow the middle class by shifting the cost of health care or college on the families already struggle organize forcing communities to lay off more teachers or cops or ship builders and folks who are
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doing well don't have to do anything more. that's not fair. and it's not good for the economy. and the other thing we've got to do is stop having crises manufactured every month. it seems -- i know you must get tired of it. didn't we just solve this thing now we've got another thing coming up? i mean think about it if mike peters ran his business this way up once every month or two there would be a crisis you weren't sure whether or not you're working or not. even if it got solved, eventually or ultimately, you know, it would be discouraging on people, you'd be less product in, ships wouldn't get built as fast, you'd waste money because you don't know what to ex-peg, folks aren't sure, am i showing up to work today or not?
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if it's not a good way to run a business, it's sure not a good way to run a country. all of you, the american people, you've worked too hard for too long, rebuilding and digging our way out of the financial crisis in 2007 and 2008 to see congress cause another one. the greatest nation on earth can't keep on conducting its business drifting from one crisis to the next. we've got to have a plan. we've got to invest in our common future. our true north is a growing economy that creates good middle class jobs, a country that provides its people with skills they need get those jobs and make sure that you're getting paid a decent wage for working hard so you can support your families. that's what we should be focused on now, not weakening the
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economy, not laying people off. that's what we should be talking about in washington. if you agree with me, i need you to make sure your voices are heard. let your leaders know what you expect of them. let them know what you believe. let them know what this country was built on was a sense of obligation to not just each other but to future generations. we've got to shoulder those obligations as one nation and as one people. you know i -- i was in a conversation with some of the governors from across the country yesterday and i told them, i said, i've run my last election. michelle's very happy about that. i'm not interested in spin.
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i'm not interested in playing a blame game. at this point, all i'm interested in is just solving problems. all i'm interested in is making sure that when you get up early in the morning and get to this shift at 5:30 in the morning, that you know if you do a good job and if you work hard and if you're making sure that all of the parts to this incredible ship that you're building is where they need to be, if you're doing what you do, you can go home feeling satisfied, i did my job, i did my part, i can support my family, i can take pride in what i've done for this country. that's all i want. i want us to be able to look back five years from now, ten years from now, and say we took
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care of our business and we put an end to some of these games that maybe i guess are entert n entertaining for some but are hurting too many people. but in order for us to make that happen i'm going to need you. you know, the one thing about being president is, afr four years, you get pretty humble. you'd think maybe you wouldn't but you become more humble. you realize what you don't know. you realize all of the mistakes that you make. but you also realize you can't do things by yourself. that's not how our system works. you've got to have the help and goodwill of congress and what that means is make sure that constituents of members of congress are putting some pressure on them, making sure they're doing the right thing, putting an end to some political games. i need you, virginia, to keep up pressure. i need you keep up the effort. i need you to keep up the fight.
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if you do, congress will listen. if you stand up and speak out, congress will listen. and together, we will unleash our true potential and we'll remind the world why it is the united states builds the greatest ships on earth and is the greatest nation on earth. thank you. god bless you. god bless the united states of america. >> all right. president wrapping up his speech in newport news. i want to bring in john king out of washington and jessica yellin. a couple things that struck me. first, john, two things he said that he has offered to reform medicare. do we know if it's significant or substantial, those kinds of offers, first in. >> the president's referring to past proposals he says is still on the table if republicans come to the table and say let's have that bigger conversation those a fact. the president has in the past had proposals on the table with republicans. they're saying we went through the fiscal cliff, look agent $85
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billion, if you want to stop this before friday, show us you can do this with all spending cuts and not tax revenues and then they'll go back to the bigger conversation. everybody's pulling out old things they've said in the past to say i have a plan. hear republicans on capitol hill say we'll give the president the flexibility tomorrow to let federal agencies have the decision how to do this. the president gives up his leverage. the frustrating part if you listen to the president carefully, whether you supported him or not, he's right when he says we keep going from crisis to crisis, and he has as much responsibility in that, not blaming him for the decisions, but he has as much responsibility as does everybody in congress, including the republican-controlled house and that's the part that leaves the country pretty disgusted. they've sent these people here, that's the divided government, the collective will of the american people. every family, every business, everybody has to sit down at the table and make the decisions in the last foive years and washington does it in little pieces and solve one crisis to
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start another fire. >> the second thing he said, he's trying to portray himself as reasonable in the talks, look i want to close the tax loopholes and deductions for the wealthiest people. that's all i want. is that true? >> for the $85 billion, yes, he could get the $85 billion the white house says by taking away energy loopholes, shell and exxons and chevrons of the world get, whatever deduction businessmen get writing off private jets. president says you can close loopholes and do modest cuts that gets you to $85, go away with the sequester, move on to the next crisis, which is funding the government. republicans say so we raise taxes as part of the fiscal cliff now you want us -- that's raising taxes, might be a less politically dicey raising taxes but it's raising taxes. you want us do it today. then the big question unsolved about the bigger deficit reduction issues and you're going to ask us to raise taxes a third time.
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no thanks, mr. president. that's the holy grail. entitlements is democrats' holy grail. we'll be back here every couple months talking about the crisises. >> jess, we talked about he's not interested in the spin or the blame game. he says he's interested in solving problems. we know, you know, very much this president that he is also very politically savvy. what do you make of the statement? >> reporter: well, it's part of the message strategy, isn't it? he says you know he is above the political fight. but he's waging a political fight. this was a message that is really reflects the belief in the white house, i'd say, that this is a fight that will go on for many weeks. this is not the kind of speech the president would deliver if he thought this deal was going to get hammered out this week because it was so clearly partisan, it was such an aggressive attack blaming republicans for the stalemate
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and clearly setting up the blame if the cuts are triggered friday and saying it's because of house republicans. that is not the kind of environment you create if you think you're on the verge of a deal. so we know they're not clearly the president doesn't think they are. and he is defining his side of the argument that we need balance. you've heard the terms before, to go and ahead and prepare for a protracted fight. get ready for this one. i'm afraid to say it wilast a while. >> thank you so much. we want to talk about how it could take longer to fly if the forced spending cuts go into effect. plus, watching this big story. millions of folks digging themselves out of a blizzard in parts of the country. i'm up next, but now i'm singing the heartburn blues. hold on, prilosec isn't for fast relief. cue up alka-seltzer. it stops heartburn fast. ♪ oh what a relief it is!
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white house is warning that air travel is going to be axdokl pain if thesee1 forcedt(lp spenr cuts actually go through on friday. the transporta2)9q secretary republican ray lahood is warning of airportxd delays up to 90 minutes. homeland security secretary janett( napolitano says the average weight times at customs is going toe1 increase by as mu as 50%. and expect to see even longer delays at the busiest airports. so we're talkingc newark, los angeles, new york's jfk, where delays could actually double to four hours or more. this is all based on government travel alreadyq a mess. ÷-w+" plains states and the u.s roads areq closed, schools have beençó shut down in many fáciti.
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several airports have come to a stand still at this point. this is what it looks like in norman, oak, pure whiteout fá conditions. the storm dropping 15 inches of snow on monday making it nearly impossible for emergency rescue vehicles to rescue people now stuck on the roads. one person died when theu rooff his home partiallyñr collapsed. wichita, kansas, broke a snowfall record for the entire monthñr of february in six days. schools have been5a closed her most flights have beenñh9 at the kansas city international airport. and piling snow has knocked out power tow3 tens of thousands of people. ted is at chicago's o'harelp airport. normally very w3busy. this is the second time in two weeks we have seen chicago h) with a major snowstorm.fá >> reporter: yes, the storm is you can seeq it is snowing here suzanne. and iuk has been snowing for th better part of ant( hour now. and we already had 250 flights
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canceled at o'hare. another 50 flights canceled out of midway, also out of chicago. but, quite frankly, most flights are still running. look÷ at the security line here. you're talking about what is coming potentially with security lines. wouldn't you likeq to bee1 in t one. hardly anybody ivp it at all, look at the big board here. leaving and believe it or not, leaving on time. of course, chicago is prettyokñ used toi] dealing with snow. bit of its power. throughout the rest of the afternoon>!s"q into the evening. and expecting tapá we're going) to have more delays and more q cancellations. but forq now, at least,i] thing look pretty good, at least at o'hare. >> all right. ted, thanks. appreciate it as well.fá coming up, many diet plans, but only onexd can actually hel you prevent heart disease.çó and it is pretty easy. we're going to h!52háhat after the break. [ woman ] my boyfriend and i were going on vacation,
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